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MINNEAPOLIS (Reuters) - "Minnesota's state government began a broad shut down on Friday going into the July 4 holiday after Democratic Governor Mark Dayton and Republican legislative leaders failed to reach a budget deal."

But in reality, the market displays bullish technical attitude, we have no bearish crosses, no monthly macd cross, so if its only our opinion that the markets are ready to falter, then that is not enough.

The bounce off the 200 SMA, is documented, the black boxes were set, the GREEK tragedy was in motion to be saved, for now....and coming is our turn. They will play out the DRAMA of the debt ceiling, Geithner and smart Bernanke are publicly warning catostrophe if they don't do something, meaning ALLOW the gov to borrow more than already mandated. HOW HARD a deal is that to make?

But be sure a huge drama will play out, then Obama can go on TV and say how great it is that the parties can work together to raise the debt ceiling.

Stock market revives and rates rise, FED slows purchases, ends QE2, rates rise....rates rise and put pressure on those seeking loans.

But as long as FED FUNDS rate stays at ZERO, savers will bescrewed and RISK ON trade will be alive.....OK.....this historic manipulation, grossly misaligning demand, resources and investment will end badly as all others before it has. WIll it be in a HUGE SPIKE in interest rates at a time savers still get ZERO %?  will the 30 yr old BOND BUBBLE BURST? OR IS IT THE GOVT DEBT BUBBLE?

from zerohedge.com
"The one and only clearest indication of just how effective the recovery and QE2 in general has been, comes courtesy of the USDA, whose just released update of April participation in Supplemental Nutrition Assistance Program (SNAP), better known as "foodstamps", shows yet another record, this time 44.647 million people, an increase from May's 44.587 million."


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